Rents fell everywhere, but they rose in Amsterdam | Amsterdam
While rents in the free sector have fallen nationally, they continue to rise at a solid pace in Amsterdam. Rents for people who depend on these more expensive rental homes rose by almost 11 percent last year.
At 25.75 euros per square meter, the rental price has reached an unprecedented level in recent months. With a name for houses in the category ‘smaller homes’ – up to 75 square meters – new tenants in Amsterdam must always in the pocket: for an increase in the average rent to almost 30 euros per square meter, an increase of more than 12 percent.
According to Jasper de Groot of rental platform Pararius, which has released the latest figures, it is particularly worrying that the number of rental properties is being taken up at a rapid pace. “From the sales market, we feel that many private landlords currently feel compelled to sell their rental properties, because renting is not destroyed later. At the same time, demand is only increasing, causing prices to rise sharply at city level.”
Center most expensive
In the center of Amsterdam, the average square meter price of a rental home in the private sector rose by 8.5 percent. New tenants now pay 28.26 euros per square meter per month. In all other districts, square meter prices rose by at least 9 percent. This was strongest in New West (13.9 percent), East (12.6 percent) and North (10.5 percent). There was also a sharp increase in Southeast (10 percent), South (9.8 percent) and West (9.4 percent). In Southeast, the square meter price is still below twenty euros: new tenants there pay 19.95 euros per square meter per month.
De Groot says that the case is a declining trend in the number of vacant rental properties in the private sector. According to him, supply and demand are getting more and more out of balance, resulting in rising prices. “The tightness of the free rental sector will increase further if the government plans to realize the mid-rental segment.”
Pay the top prize
He refers to the regulations in which landlords in the free sector live no longer ask what they want for a home. For some of the new rental homes, a maximum rent is paid, as is the case with social rent. Why is the cabinet changing the law? According to Minister Hugo de Jonge (Public Housing), the tightness on the housing market is ‘so detailed that the main price is now being paid for a house that is not worth having’.
Strict rules now only apply to homes with a rent of up to 763 euros per month. The rent in the social sector is determined on the basis of a points system, which takes into account, for example, the quality of the home and the surface area. The cabinet is now going to expand the limit to homes with a rental price of up to 1,000 euros per month. De Jonge hopes that more people with an average salary can be helped to find an affordable rental home in the long term.
100,000 homes
Free sector homes are playing an increasingly important role in the Amsterdam housing market: prices are rising rapidly, people are often moving and recent residents more often have a temporary rental contract. Two thirds of the more than 149,000 private rental homes – of the 450,000 homes in the city – have been liberalized and therefore fall under the free sector.
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